Cathay Pacific buys back warrants from Hong Kong government's 2020 bailout

Airline Cathay Pacific has bought back all warrants issued to the Hong Kong government in 2020, another step in repaying the government for a pandemic-related recapitalisation package, the company said on Friday.

Cathay said the buyback was for HK$1.53 billion ($196.2 million).
 

At the end of July, the carrier carried out a buyback of the last part of HK$19.5 billion in preference shares issued to the Hong Kong government as part of the HK$39 billion rescue package in June 2020.
 

It also paid a total of HK$2.44 billion in preference share dividends.
 

"Completing the buyback of the preference shares and the warrants marks the close of a significant chapter in Cathay's history. Now, we are firmly focused on the future," CEO Ronald Lam said.
 

Cathay made heavy losses and layoffs during the COVID-19 pandemic and reported its first annual profit in four years in March, and paid its first dividend since 2019.
 

It reported a15% drop in interim profit in August, mainly due to lower air fares, and announced a HK$100 billion ($12.8 billion) investment over seven years in the airline.

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